Government Procurement Act Article 30

In conducting a procurement, an entity shall provide in the tender documentation that a tenderer shall deposit a bid bond, and that the winning tenderer shall deposit a guarantee bond or, in lieu thereof or in addition thereto, other guarantees, except in the following circumstances:1. where the procurement is for services, the bid bond or guarantee bond shall be waived in principle;2. where the procurement is for construction work or property of a value not reaching the threshold for publication, the bid bond or guarantee bond may be waived;3. where there is only one supplier invited for price negotiation , the bid bond may be waived; or4. where there is no need or possibility to require a bid bond or guarantee bond by the business practice or attributes of procurement.The bid bond and guarantee bond shall be deposited by tenderers in the form of cash, financial institution’s promissory notes, financial institution’s checks, certified checks, postal money orders, government bonds, certificates of deposit pledged to the procuring entity, irrevocable stand-by letters of credit issued or confirmed by a bank, or bank guarantees or insurance policies under which the bank or insurer shares the liability with the tenderer jointly and severally.The types, amounts, and ways of deposit, refund, termination of bid bond, guarantee bond, and other guarantees, as well as the related implementing matters shall be prescribed by the responsible entity.